‘Asia-relevant’ experience is broadly defined
Asialink identified six ‘individual capabilities’ it thought were important for business leaders to have, with some detail about how to achieve such capabilities.
The first relates to a sophisticated understanding of how Asian businesses work. Asialink reckons it takes two years working in Asia to develop this capability. Another capability is a nuanced understanding of regional Asian economies, including an awareness and familiarity with second- and third-tier cities.
The other four capabilities are less rigidly defined. One relates to long-term relationships with Asian counterparts, another involves a nuanced understanding of cultural context, another relates to ability to negotiate with Asian governments, and lastly, a “useful” level of language proficiency.
The white paper itself applauds this framework for its broadness. “Business success in the region will not be solved by acquiring a single generic ‘Asia-relevant capability’,” it says, “but by each business assessing its circumstances and tailoring capabilities accordingly.”
Where are we now?
The Asialink report states that when it comes to building trusted, long-term relationships with Asian counterparts, Australians do OK. But a survey of 380 businesses revealed other areas of concern.
“There was a recurring view that corporate Australia lacked deep Asia experience, especially at board and senior executive level. This general view was reflected in the survey of Austrade officials,” the Asialink report said.
Currently, less than half of Australian businesses surveyed have any board members with Asian experience or language ability, according to Asialink. The white paper wants not only all ASX200 companies to have some Asian experience on their boards, but a third of all directorships to be filled by someone with Asian experience. This means in most companies, two or three members of the board need a stint in Asia before they meet the white paper’s recommendation.
Most boards don’t have anyone with Asian experience. And when it comes to executives, only 12 of the chiefs of ASX100 companies have worked in Asia.
Australian companies have a long way to go.
Myriam Robin is a reporter for SmartCompany and its sister site LeadingCompany. She has degrees in economics, international studies and journalism. She likes writing about businesses taking risks and doing new things.
